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How will the market for fleet management systems for commercial vehicles in South Africa evolve in 2017 and beyond? Berg Insight forecasts that the number of fleet management systems in active use in South Africa will grow at a CAGR of 12.6 percent from 1.1 million units at the end of 2016 to 1.9 million by 2021. The 100 page report covers this year for the first time also a market outlook for the Rest of Africa. Get up to date with the latest information about vendors, products and markets. This report is available in PDF format only.
Highlights from the second edition of the report:
Insights from numerous interviews with market-leading companies.
New data on vehicle populations and commercial fleets in South Africa and other African countries.
Comprehensive overview of the fleet management value chain and key applications.
In-depth analysis of market trends and key developments.
Updated profiles of 24 aftermarket fleet management solution providers.
Summary of OEM propositions from commercial vehicle brands.
Market forecasts lasting until 2021.
Outlook on the African fleet management market beyond South Africa.
The installed based of FM systems in South Africa will reach 1.9 million units by 2021
In spite of the country’s weak economic performance, Berg Insight is of the opinion that the market for fleet management in South Africa is in a growth period which will continue in the years to come. The number of FM systems in active use is forecasted to grow at a compound annual growth rate (CAGR) of 12.6 percent from 1.1 million units at the end of 2016 to 1.9 million by 2021. The penetration rate in the total population of non-privately owned fleet vehicles used by businesses is at the same time estimated to increase from 24.1 percent in 2016 to 39.6 percent in 2021. South Africa is a relatively mature telematics market and the penetration is comparably high from an international perspective. Far from all deployments are however full-scale advanced FM solutions. A notable share of the installed fleet telematics systems on the South African market is represented by low-end tracking systems, e.g. light FM solutions, including SVR systems extended with basic FM features.
The South African fleet management market is dominated by five players with broad telematics portfolios which are all headquartered in the country and have installed bases of over 100,000 FM units each. Berg Insight ranks Cartrack and MiX Telematics as the largest providers of fleet management solutions in South Africa, both having estimated installed bases in the range of 150,000–200,000 active units in the country, followed by Ctrack and Altech Netstar. Tracker has also provided more than 100,000 active FM systems in the country where some of them are powered by TomTom Telematics. Other renowned international providers active on the market include Pointer Telocation and Geotab. Foreign telematics players have however generally not managed to achieve any top-ranking market shares on the South African fleet management market so far. Additional examples of domestic aftermarket players include Digit Vehicle Tracking (Digicell), GPS Tracking Solutions (Eqstra Fleet Management), SmartSurv Wireless, Autotrak and Autowatch Telematics (PFK Electronics). Commercial vehicle OEMs including Daimler, Scania, MAN and Volvo Group have moreover introduced fleet telematics solutions in South Africa, though the adoption levels generally remain relatively modest so far.
The report also includes an outlook on the overall African market. Africa is clearly a highly diverse geographic region from a fleet management perspective. The continent can in general be divided into three subregions – South Africa, Sub-Saharan Africa (excluding South Africa) and Northern Africa. South Africa is in general well ahead of the rest of the continent in terms of adoption.
Berg Insight’s M2M Research Series
What are the key business opportunities in the emerging wireless M2M/IoT market? Berg Insight’s M2M Research Series is a unique series of 25 market reports published on a regular basis. Each title offers detailed analysis of a specific vertical application area such as smart metering, fleet management or vehicle telematics. Once per year we also publish summaries of our research with detailed forecasts for the Global and European wireless M2M markets, respectively.
This report answers the following questions:
How does the fleet management market in South Africa compare with other markets?
What is the price level of South African fleet telematics solutions?
Which are the leading domestic providers of aftermarket fleet management solutions?
Which international fleet management providers are targeting the South African market?
What hurdles are there for foreign players?
What offerings are available from commercial vehicle OEMs?
What challenges and opportunities are there in the rest of Africa?
Will the FM industry consolidate further during 2017–2018?
How will the commercial vehicle telematics industry evolve in the future?